Official Dispatch No. 313/CTTPHCM-TTHT dated January 11, 2023 of Tax Department of Ho Chi Minh City guides the VAT rate for returned goods and trade discounts related to revenue generated in 2022
Ho Chi Minh City Tax Department has guided:
Returned goods: For goods purchased from February 2022 to December 2022 (goods and services are subjected to VAT reduction, the applicable VAT rate is 8%), by 2023 when returning goods, a return invoice is issued with the VAT rate of 8%.
Commercial discount: Regarding the VAT rate related to the trade discount made when the program ended at the end of the period:
If the trade discount is related to the revenue from selling goods and providing services from February 2022 to December 2022 (goods and services are subjected to VAT reduction, the applicable VAT rate is 8%), this trade discount shall be applied by the Company at the corresponding VAT rate of 8%.
If the trade discount is related to the turnover of goods and services sold in 2022 with the applicable VAT rate of 10%, this trade discount shall be applied by the Company with the corresponding VAT rate of 10%.
